Tata Elxsi announces partnership, stock ends in green

The maker of computer hardware and software products, Tata Elxsi, announced partnership with Ayla Networks to deliver value-added IoT services to communications service providers (CSP). The stock of Tata Elxsi withstood overall market pessimism and closed 1 per cent up from its previous close. This is the third consecutive uptick for the stock.

Tata Elxsi and Ayla Networks will develop and deliver IoT solutions together to implement sophisticated and reliable IoT solutions to enable CSPs to fulfil growing demand for improved customer experience. Taking latter’s IoT expertise and former’s multimillion-scale field devices, the CSPs will be able to build and sell smart home/enterprise/office solutions. The said collaboration would help overcome the challenges faced by the operators right from choosing to implementing the IoT offers.

The stock of Tata Elxsi has been trading in an Upward sloping channel pattern since February 2018. The stock witnessed a retreat from 1470 levels up to 1287, meanwhile breaching the channel pattern lower trendline on the downside. However, a bounce back with three straight upsurges from 100 days EMA support line suggests optimism going forward. Further justifiable volumes and 14-period RSI positive crossover after bouncing back from near the oversold zone is an added benefit.